Marketing research firm Nielsen on Wednesday said a combination of government aid, monsoon and gross domestic product (GDP) growth will impact the fast-moving consumer goods (FMCG) sector.
In an interview to CNBC-TV18's Rituparna Bhuyan, Sunil Khiani, associate director, said, “From Q3 2018, we are seeing some bit of softness and slowdown that is happening. For this quarter, we are seeing a 10 percent. However, it is still a double-digit at 10 percent kind of growth in FMCG. For the full year, a tad lower which is between 8 percent and 9 percent is what we are predicting FMCG to grow."
“More rural slowdown is driven by the north zone, which is also the highest contributor. Four months back, winter rains impacted our rabi crops. So, a lot of the rural population, disposable incomes are at a very threat position. Inflationary pressures are not helping. If you look at average prices of FMCG, they are also firming up,” Khiani said.